One of the most challenging parts of owning rental property is finding tenants to occupy it. The tenants you choose will be the largest factor in whether or not you have a good experience as a landlord. With a great tenant, you’ll have someone paying rent on time, taking care of your property for a few years, and following the terms of the lease. With a bad tenant, you’ll have to worry about property damage, unpaid rent, and a lot of unnecessary stress. When it comes to choosing tenants, follow a consistent and thorough screening process.
The screening process must include background checks and a review of the applicant’s rental history. Check an applicant’s credit report. While you probably won’t find a lot of tenants with perfect credit, you want to make sure they don’t have any outstanding debts due to landlords, management companies, or utility companies. Look for past evictions and make sure their debt isn’t staggering. Check criminal history as well, and verify their employment and income. You want a tenant who earns at least 2.5 or 3 times the monthly rent. Talk to former landlords. This is the best indicator of how they will perform in your property. Ask if rent was paid on time, if they left any damage in the home, and if they gave proper notice when they moved out.
In addition to the basic screening tools, you also want to go a few steps further. Do an internet search of the applicants. See what their social media pages look like and if it matches who they say they are. If they told you they have no pets but their Instagram account shows that they’re the proud owners of two pit bulls, you’re going to want to follow up. The goal is to get an idea of who you’re renting your property to.
Property Management Pompano Beach
One of the best reasons to hire a professional property management company is to take advantage of their expertise in screening and tenant placement. Even if you don’t want a full-service management contract, using a screening company or a management company to find and screen tenants is a valuable resource. If you’re not sure how to screen or what you need to do to get the pertinent information, seek professional help.
Make sure you’re following all the fair housing laws when you advertise, screen, and place tenants. You don’t want to discriminate or invite a claim of discrimination.
If being a landlord has gotten stale – get fresh. Whether you need help finding a great tenant or you’re interested in Pompano Beach property management, please contact us at Komerci Group Property Management.